Social and economic impact evaluation is an essential process that allows for estimating the effects of a plan or project on value addition, jobs, and productivity. The report by Macroplan (2019) evaluates the changes made to the Crows Nest OSD floorspace allocations plan released in November 2018. This paper aims to summarize the primary points made in the social and economic outcome assessment report with regard to OSD economic impacts, social impacts, and economic impacts of additional retail floor space.
OSD Economic Impacts
The primary economic benefits of the revised plans include job generation in the construction industry and indirectly related fields, increased total commercial floor space, and additional retail floor space. Furthermore, changes in the Industry Value Add (IVA) Model can be observed. According to Macroplan (2019), a three-year construction timeframe would generate 265 full-time jobs directly in the industry and 419 full-time jobs indirectly per year, thus, increasing the OSD’s IVA to a total of $284 million (p. 2).
Furthermore, Macroplan (2019) expects the total household expenditure of service providers and local retail to equal $2.4 million, which is marked by a significant decrease compared to 2018 projections (p. 2). Based on the updated worker expenditure model, a reduction of construction employees’ spending is expected, totaling $0.65 million per year. As Macroplan (2019) reports, a decreased number of dwellings reduced the number of workers living at the OSD and resulted in a fall in net time value, which constituted $1.5 million per year (p. 2). Finally, as the residents shift from car to train usage, fewer vehicles would be expected on the road leading to a saving on congestion costs.
Social Impacts
The social impacts of the revised plans are evaluated considering the needs of the broader catchment required to address the project’s specific needs. A modest increase in demand for community facilities and services is expected due to the slight population growth generated by the OSD. Generally, the available facilities located near the OSD site should have sufficient capacity to cover the project’s impacts without causing the need for additional services (Macroplan, 2019). Nevertheless, the location of the OSD is suitable for the construction of a new child care center that can be incorporated in the proposal along with multifunctional community uses.
Economic Impacts of Additional Retail Floorspace
Crows Nest is characterized as an established retail pitch, dominated primarily by food and beverage outlets. Train stations in the Sydney metro area become increasingly widespread due to the reduction of car ownership, which provides opportunities for increasing retail floor space. Moreover, retail developments at the new Crows Nest OSD are positively affected by the site’s location at a busy transit hub. According to Macroplan (2019), food catering, convenience retail, and non-retail uses, such as a small gym, can be delivered in the proposed building resulting in further benefits for the residents.
Additional retail floorspace would provide a broader range of shopping choices for the local population, job opportunities, modern amenities, and increased convenience for both the users and occupiers of the development. As Macroplan (2019) reports, insignificant effects are expected with regard to the surrounding stores. As a result, the community would benefit from the inclusion of additional retail space in the development proposed.
To conclude, the revised plans are associated with such social and economic impacts as increased job generation, added industry value, and improved social infrastructure. In particular, the extension of retail floorspace would benefit the residents and occupiers of the development by providing a wider range of convenience retail and non-retail opportunities. The social and economic impact assessment report provides a detailed perspective on the changes expected due to the amendments in OSD plans.
Reference
Macroplan. (2019). Social and economic impact assessment report. Web.